The Black Friday and Cyber Monday (BFCM) shopping extravaganza is a pivotal moment for both consumers and businesses. It’s the time of year when brands pull out all the stops to attract shoppers with irresistible deals. But what exactly are the trends and strategies that drive this shopping frenzy? We analyzed data from a few hundred eCommerce brands to uncover the secrets behind successful BFCM campaigns. Here’s what we found:
BFCM Spans a Wide Array of Product Categories
BFCM isn’t just about electronics and fashion. Our analysis revealed promotions spanning 16 different categories and 54 unique sub-categories. From jewelry to indoor gardens and mattresses, brands from various sectors are leveraging this shopping period to boost their sales.
Percentage Discounts Are the Most Popular Promotion Type
One of the standout trends is the prevalence of percentage-based discounts. A whopping 77% of brands with promotions offered percentage discounts, with the average discount hovering around 36.8%. This tactic not only attracts bargain hunters but also creates a perception of significant savings, enticing consumers to make a purchase.
High-Value Items Benefit from Dollar Amount Discounts
While percentage discounts are popular, fixed dollar amount discounts also play a crucial role. 22% of promotions provided specific dollar savings, with the average discount amount being an impressive $448.52. High-value items, such as mattresses, often use this strategy to highlight substantial savings on big-ticket purchases.
Free shipping is a powerful incentive, and it was offered in 49% of the promotions. This trend underscores the importance of reducing friction in the shopping experience. By eliminating shipping costs, brands make it easier for consumers to hit the “buy” button without worrying about additional charges at checkout.
Automatic Discounts Are Preferred Over Coupon Codes
Interestingly, only 12% of promotions required a coupon code. This suggests that many brands prefer to streamline the shopping process by applying discounts automatically. This approach can prevent cart abandonment, as shoppers don’t have to search for or remember to enter a coupon code.
Select SKU(s) and Sitewide Deals Lead the Way
The data shows a variety of deal structures, and their distribution among brands is as follows:
The “Select SKU(s)” and “Sitewide” deals were the most prevalent, indicating a strategic balance between targeting specific products and offering broad savings to appeal to a wider audience.
Gifting Messaging Enhances Promotional Appeal
Not surprisingly, 40% of brands incorporated gifting-related messaging in their promotions. Brands like Wayfair, Kiwico, Brooklinen, and more leveraged this strategy to appeal to shoppers looking for holiday gifts, enhancing the appeal of their promotions.
Let's Summarize...
Our analysis of BFCM promotions reveals a strategic use of discounts, free shipping, gifting messaging, and varied deal structures to attract shoppers. Brands are leveraging percentage discounts extensively and simplifying the shopping experience with automatic discounts and free shipping. The integration of gifting messaging highlights the potential for targeting holiday shoppers more effectively.
As the shopping landscape continues to evolve, staying ahead of these trends can help brands maximize their BFCM success and drive significant sales growth. Whether you're a consumer hunting for the best deals or a brand planning your next BFCM strategy, understanding these insights can give you a competitive edge.
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What Does It Mean for Your eCom Brand in Q4-2024?
- Leverage Percentage Discounts: Highlight significant percentage savings to attract deal-seekers.
- Offer Free Shipping: Reduce checkout friction and boost conversion rates by eliminating shipping costs.
- Simplify with Automatic Discounts: Avoid cart abandonment by applying discounts directly, without the need for coupon codes.
- Explore Gifting Themes: Integrate gifting messaging to capitalize on the holiday shopping spirit.
By understanding and implementing these strategies, brands can enhance their BFCM promotions and ensure a successful holiday shopping season.